Arbuthnot Banking Group PLC (LON:ARBB) shareholders (or potential shareholders) will be happy to see that the Chairman & CEO, Henry Angest, recently bought a whopping UK£682k worth of stock, at a price of UK£9.75. While that only increased their holding size by 0.8%, it is still a big swing by our standards.
See our latest analysis for Arbuthnot Banking Group
Arbuthnot Banking Group Insider Transactions Over The Last Year
Notably, that recent purchase by Henry Angest is the biggest insider purchase of Arbuthnot Banking Group shares that we’ve seen in the last year. That means that an insider was happy to buy shares at around the current price of UK£10.00. Of course they may have changed their mind. But this suggests they are optimistic. If someone buys shares at well below current prices, it’s a good sign on balance, but keep in mind they may no longer see value. In this case we’re pleased to report that the insider purchases were made at close to current prices.
In the last twelve months insiders purchased 113.26k shares for UK£1.1m. On the other hand they divested 31.70k shares, for UK£296k. In the last twelve months there was more buying than selling by Arbuthnot Banking Group insiders. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).
Does Arbuthnot Banking Group Boast High Insider Ownership?
For a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. It’s great to see that Arbuthnot Banking Group insiders own 47% of the company, worth about UK£78m. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.
So What Does This Data Suggest About Arbuthnot Banking Group Insiders?
It is good to see recent purchasing. And an analysis of the transactions over the last year also gives us confidence. When combined with notable insider ownership, these factors suggest Arbuthnot Banking Group insiders are well aligned, and quite possibly think the share price is too low. Nice! So these insider transactions can help us build a thesis about the stock, but it’s also worthwhile knowing the risks facing this company. When we did our research, we found 3 warning signs for Arbuthnot Banking Group (1 is concerning!) that we believe deserve your full attention.
But note: Arbuthnot Banking Group may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE and low debt.
For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions of direct interests only, but not derivative transactions or indirect interests.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
